Newcrest completes 70% acquisition of Red Chris
Friday, August 16th, 2019
Newcrest Mining Limited (Newcrest) is pleased to announce that it has completed the joint venture transaction with Imperial Metals Corporation (Imperial), which was previously announced in the market release titled “Newcrest to acquire potential Tier 1 orebody in Canada” on 11 March 2019. Newcrest now owns a 70% interest in, and has operatorship of, the Red Chris mine and surrounding tenements in British Columbia, Canada (Red Chris). Imperial has retained a 30% interest in Red Chris.
Red Chris is a copper-gold porphyry mine with an operating open-pit mine and Mineral Resources of 20 million ounces of gold and 13 billion pounds of copper1 . The acquired property comprises 23,142 hectares of land with 77 mineral tenures, five of which are mining leases, and which sits within the traditional territory of the Tahltan Nation.
• Supports strategic goals – The acquisition of Red Chris is a measured entry into North America and aligns with Newcrest’s stated strategic goals of building a global portfolio of Tier 1 orebodies, where Newcrest can deliver value through application of its unique operating capabilities.
• High-quality orebody in a premier jurisdiction – Red Chris has a copper-gold porphyry orebody, located in the prospective ‘Golden Triangle’ of British Columbia, Canada, with the potential to transform into a Tier 1 orebody through Newcrest’s advanced block caving skills.
• Immediate asset and geographic diversification – Red Chris delivers immediate production in a multi-decade orebody, which complements Newcrest’s already strong, long-dated asset portfolio.
• Large mineral endowment – Imperial has reported a Mineral Resource at Red Chris of approximately 20 million ounces of gold and 13 billion pounds of copper1 . • Significant upside opportunity – Newcrest believes it will be able to unlock significant value from the deposit by applying its unique technical expertise in block caving, operations optimisation and selective processing.
• Exploration potential – Newcrest sees promising exploration opportunities in the acquired mineral tenure package.
“We are delighted to have closed the Red Chris transaction and add this operating mine to our existing low cost, long-life portfolio” said Sandeep Biswas, Newcrest’s Managing Director and CEO. ” We are pleased with the highly constructive and collaborative relationship we are developing with the Tahltan Nation and the Government of British Columbia and look forward to working together as we execute our forward work plan to unlock the significant potential from Red Chris. We are excited to establish a strong presence in British Columbia, Canada, a quality mining jurisdiction in a country with roots in mining, much like Australia.”http://www.newcrest.com.au